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SEC. 796. The passage of this act shall in no way change the status of the 
deposits now in the postal savings bank, either principal or interest; and 
nothing herein contained shall be construed to mean any interference with 
such deposits, principal, or interest.
SEC. 797. For the purpose of further securing depositors in the Hawaiian 
Postal Savings Bank, the minister of finance, with the consent of the cabinet, 
is hereby authorized to sell at not less than par, from time to time, treasury 
notes of the Hawaiian government not exceeding the amounts of the 
deposits in the postal savings bank at the time of issue.
SEC. 798. Such notes shall each be of the denomination of not less than one 
hundred nor more than five thousand dollars: shall be payable in not less 
than three months nor more than eighteen months after date of issue; shall 
bear interest at a rate not exceeding 6 per cent per annum, payable 
semiannually, and shall be payable, principal and interest, in gold coin of the 
United States of America or its equivalent, and shall be exempt from any 
taxes whatsoever.
SEC. 799. Such notes shall be sold only for the purpose of obtaining moneys 
with which to pay demands which may be made upon the postal savings bank 
which the treasury is unable to meet from other sources, and shall be held as 
a special deposit for such purpose, and used for no other purpose; pro-vided, 
however, that moneys heretofore paid out of the treasury to depositors may be 
repaid to the treasury out of the receipts from such notes.
SEC. 800. The postmaster-general, as manager of the postal savings bank, 
with the consent and approval of the minister of finance, may issue to any 
person term deposit certificates in the name of the Hawaiian Postal Savings 
Bank for deposits of not less than $500 nor more than $5,000.
SEC. 801. The amount so deposited shall draw interest at a rate not to exceed 
6 per cent per annum, to be computed in accordance with the law regulating the 
bank. Such deposits shall not in the aggregate exceed $150,OO0 at any one time.
SEC. 802. The term for which any deposit shall be received under this act 
shall not exceed twelve months.
SEC. 803. The form of the said certificate shall be as follows, and shall contain 
the conditions hereinafter set forth:
Hawaiian postal savings bank certificates.
HONOLULU,  -  -  - , 189 - .
Received from  -  -  -   -  -  - , in  -  -  -  coin,  -  -  -  dollars on deposit, payable In 
 -  -  -  coin on presentation of this certificate properly indorsed. This deposit is 
made for  -  -  -  months, and will bear interest from  -  -  - , 189 - , at the rate of 
 -  -  per cent per annum, and in accordance with the conditions printed 
Interest,  -  -  - .
Approved:	 -  -  -   -  -  - , Minister of Finance.
Present this certificate at the postal savings bank at the expiration of the 
term stated herein. Interest will cease at that date.
Holders at a distance may indorse this certificate and send by mail to the 
postal savings bank, when it will be paid.
This certificate may be transferred by endorsement, and principal with 
interest will be paid to the holder hereof.
Mr. MASON. Mr. President, I think there is a good deal of force 
to the suggestion of the Senator from Wisconsin, and also the 
same suggestion made by the Senator from Illinois, that it ought to 
be uniform and extend all over the country, but the Senate is never 
in a hurry. We can take this up a week from next summer just as 
well as now. I make the suggestion that if the amendment offered 
by the Senator conflicts with any other suggestions made, the 
whole bill ought to be amended so as to conform to it.
The laws, as you will see if you read them carefully, provide for 
a certain officer to receive these deposits. The officers of the 
Hawaiian government must have successors. It would naturally be 
the Postmaster-General of the United States as to this matter. The 
objection may be made that it is not uniform. Nothing is uniform 
at the present day. We make one law for this country and another 
law for another country. We have gone into the lawmaking 
business for the whole world.
Even 1 have tried to introduce and to secure the passage of laws 
that should govern the Parliament of Great Britain and the Boers 
in South Africa. The Senator from Illinois, my colleague, pro-
poses now to make laws for Hawaii. The Senator from Ohio [Mr. 
FORAKER] proposes to make laws for Puerto Rico, and some others as 
to the Philippines. If we are to save for the benefit of the people of 
those islands the particular laws which they have found good for 
them, there must be some way to save to the people of the Hawaiian 
islands this splendid system that encourages saving, that gives 
security to the poor depositor and lets the boot-black and the scrub 
woman and the laboring man take what he has to the government 
and say, "Save that for me for my bread on a rainy day or nay 
funeral, as the case may be."
The only civilized government in the world that is dominated by 
the bankers within its four sides is the United States, and if we can 
not get to-day a postal savings bank in the United States, we ought 
to save it for the poor benighted heathen, who have had sense 
enough to be ahead of us about fifty years in the march of 
civilization, and who have built up for themselves a splendid sys-
tem of postal savings banks. We take them in under our flag, and I 
am informed, and I thank God for it, we give them the Constitution 
with the flag; but we take away their postal savings bank. I am for 
the amendment offered by the Senator from North Carolina.
Mr. KYLE.   Will the Senator allow me to ask him a question?
Mr. MASON.   Certainly.
Mr. KYLE. I should like to know whether he knows of any 
constitutional or legal objection to leaving in this portion of their 

Mr, MASON. There can not be, because we leave them a portion 
of their laws that we think they want.
Mr. KYLE. I can not think of anything in the way at all. I want 
to add my word that I am heartily in favor of this proposition. As 
long as seven or eight years ago I introduced a bill covering the 
same proposition in the United States. I think the first bill offered, 
in 1890, was by Senator Manderson, of Nebraska, to establish a 
postal savings bank in the United States. 1 liked the bill then. It 
was indorsed by the National Farmers' Alliance and by the labor 
organizations of the United States. I believe it is a bill the people 
want, as the Senator from Illinois [Mr. MASON] has remarked; and if 
there is any way to preserve it, I hope it will be done.
Mr. MASON. I thank the Senator. I introduced a bill in the last 
Congress, which was known as the Record bill. I presented 
petitions here in favor of the postal savings banks in this country 
signed by over two and a halt' million people and signed in 
practically all the States of this Union.
Mr, KYLE. It has been objected to upon the part of some that we 
did not know how it was going to work. We know how it works 
abroad - how it works in Germany, France, and these other foreign 
Mr. MASON.   And even Hawaii.
Mr. KYLE.   Exactly.
Mr. MASON. They say it is popular; it is successful; it gives a 
safe investment; it is a convenience to the government to get 
money at a low rate of interest; and at the same time it is a great 
convenience to the poor people who have savings to deposit.
Now that Hawaii is a part of the United States it will be more 
and more an object lesson to the people of our country as to the 
practical workings of this system, and I think it ought to be pre-
served to the people of the country, if possible.
Mr. ALLISON. I notice by section 5 of this proposed act, found 
on page 3 of the new print, that all the laws of the United States 
not locally inapplicable to Hawaii are extended over that country. 
Is that the understanding?
Mr. CULLOM.   It is.
Mr. MASON.   Read that again.
Mr. ALLISON. I ask the committee to explain to me whether our 
postal system is extended to Hawaii?
Mr. CULLOM.   Does the Senator mean the post-office system?
Mr. ALLISON.   Our post-office system.
Mr. CULLOM.    Of course.
Mr. ALLISON.   That is to say, we are to have post-offices there?
Mr. CULLOM.   Yes; post-offices there.
Mr. ALLISON.   And postmasters?
Mr. CULLOM.   Appointed by the President.
Mr. ALLISON. We are to have all the machinery of our Post-
Office Department and our postal system?
Mr. CULLOM.   Entire; certainly so.
Mr. ALLISON. I have also understood in this debate that under the 
annexation joint resolution we have agreed to pay the debts of 
Hawaii up to $4,000,000.
Mr. CULLOM.   That is true.
Mr. ALLISON.   That is the limit?
Mr. CULLOM.   That is the limit.
Mr. ALLISON. And that is to include the amount due by the 
government of Hawaii, under its local postal system, on account of 
savings banks?
Mr. CULLOM. That is true. It is so provided in the annexation 
Mr, ALLISON. I should be glad to have the committee, if 
they can, tell me whether or not since August 12, 1898, the local 
Hawaiian postal savings system has been going on, and whether 
they have been taking deposits under this system; and whether 
the debt has been increased from August, 1898, up to the present 
Mr. CULLOM. We had no power to do anything further than to 
report what the state of the case was, and there are provisions in 
the bill for the purpose of putting an end to the accumulation of 
indebtedness by those islands which the United States will have to 
I can state for the information of the Senator that at the time 
the commission were there and when we were about to come to 
conclusions as to what we ought to report, among others, as to 
the winding up of the postal savings banks, because we had to do 
that in order to find out how much we would have to pay, the 
people there supposed that the bill to be reported by the commission 
would be passed a year ago, during the last session of Congress, 
and many of the depositors in the postal savings banks were making 
arrangements, as I remember it, and the Senator from Alabama 
will correct me if I am mistaken, for transferring their deposits to 
other banks in the city of Honolulu, How much of that was done I 
do not know. I suppose the Senator from Alabama does not, either. 
What has been done since we came away, in view of the fact that 
the bill has not passed, 1 know nothing

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